CANADA STOCKS-TSX may open higher on better US job data

5 Min Read

Nov 5 (Reuters) - Toronto’s main stock index looked set to open higher on Friday after payroll data from the United States, Canada’s biggest trading partner, came in much better than expected, negating a soft Canadian job report.

FACTORS TO WATCH

* Canadian equity futures <0#SXF:> pointed to a higher open.

* The Canadian dollar hit a session high against its U.S. counterpart shortly after data showed U.S. payrolls surged in October, reversing losses suffered by the currency after unexpectedly soft domestic jobs data. [CAD/]

* U.S. stock index futures turned positive on Friday after data showed U.S. non-farm and private payrolls rose significantly more than expected in October. [.N]

COMMODITY PRICE MOVES

* Oil eased from a two-year high, but losses were limited by the new round of U.S. economic stimulus, which has boosted the appeal of commodities as an asset class in an environment of a weak dollar. [O/R]

* Gold hit a fresh record around $1,394 an ounce, before turning lower as the dollar firmed and the U.S. Federal Reserve’s decision to buy more government bonds earlier this week improved risk sentiment. [GOL/]

* Copper approached record highs as the dollar dropped after a U.S. decision to print more currency raised the allure of risky assets such as commodities, while focus shifted to a key U.S. jobs report. [MET/L]

CANADIAN STOCKS TO WATCH

* Telus Corp (T.TO): The company posted a 12 percent dip in third-quarter profit on Friday, but beat expectations, boosted by strong wireless growth and record television subscriber additions. [ID:nN05280098]

* Rogers Communications (RCIb.TO): The cable giant on Thursday said it paid C$75 million to increase its stakes in two related cable companies but said it does not intend to seek control of them. [ID:nN04239625]

* Magna International (MG.TO): The auto-parts maker reported third quarter earnings on Thursday that soundly beat analysts’ expectations as sales benefited from the rebound in North American auto production. [ID:nN04228491]

* Vermilion Energy Inc. (VET.TO): The company posted third-quarter earnings that missed estimates, hurt by lower production and higher expenses, but said it expects to meet or exceed its full-year production outlook.[ID:nSGE6A408L]

* DundeeWealth Inc. DW.TO: The company said on Thursday it will boost its annual dividend and replace quarterly payments with monthly ones. [ID:nN04241108]

* Denison Mines (DML.TO): The uranium producer reported a sharply lower third-quarter net loss on Thursday compared with a year earlier when its results were hit by an impairment charge. [ID:nN04227219]

* Bonavista Energy Trust BNP_u.TO: The company, one of North America’s largest energy trusts, posted third-quarter results that beat market estimates, helped by an increase in production. [ID:nSGE6A20L2]

* Primaris Retail Real Estate Investment Trust PMZ_u.TO: The company which owns mid-market retail centers in major cities and shopping malls in secondary cities reported on Thursday a 28 percent rise in its quarterly funds from operations, helped by lower expenses and contributions from recent property acquisitions. [ID:nSGE6A30NJ]

* Flint Energy Services Ltd. FES.TO: The oilfield service firm reported on Thursday third-quarter profit which trailed analysts’ expectations on weak facility infrastructure revenue, which the company said would continue to remain soft going into the fourth quarter. [ID:nSGE6A30O2]

ANALYST RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]